Themes

• General mood is “risk off”
• Chinese Caixin Services PMI Stronger than expected at 51.4
• Euro slightly weaker on light profit taking

What’s Moving

As expected, it was a quiet session in Asia today, with markets kicking off the week to consolidate Friday night movements that saw USD strength against the majors, except for the Euro.

Tight ranges were seen across all of the majors, with the Euro slightly weaker on profit taking, while the rest of the majors were largely moribund.

With no key U.S. data tonight, expect U.S. equities to dictate movements on currencies. But after the recent whippy trade, a period of consolidation is expected ahead of next movements.

Data tonight includes:

• Swiss Unemployment (E: 2.4%)
• German Industrial Production (E: +0.4%)
• U.S. Consumer Credit (E: 24.9bln)